Apple is now taking the wraps off its mobile advertising platform, the iAd.Steve Jobs says most mobile advertising sucks, so Apple will try to produce a better product.
Many app makers are giving away their apps. To help them make more money Apple is introducing the iAd.
Apple will host and deliver the ads, and give developers 60% of the sales.
Also of note: Steve took a shot at Google during his presentation saying, “On a mobile device, search is not where it’s at, not like on the desktop.”
Here’s gdgt’s transcript of Steve Jobs announcing the iAds:
“Well, we’ve got a lot of free apps — we like that, users like that, but these developers have to find a way to make some money, and we’d like to help them…What some of them are starting to do is put mobile ads in their apps… and most of this advertising sucks. We want to help developers make money with ads so they can keep their free apps free.
On a mobile device, search is not where it’s at, not like on the desktop. They’re spending all their time on these apps — they’re using apps to get to data on the internet, not generalized search…
The average user spends over 30 minutes using apps on their phone. If we said we wanted to put an ad up every 3 minutes, that’d be 10 ads per device per day — about the same as a TV show. We’re going to soon have 100m devices. That’s a billion ad opportunities per day!
…This is a pretty serious opportunity, and it’s an incredible demographic. But we want to do more than that. We want to change the quality of the advertising. We’re all familiar with interactive ads on the web. They’re interactive, but they’re not capable of delivering emotion.”
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